AgriNurture, Inc. entered into a memorandum of agreement to acquire 51% stake in Pay8 Inc. from Hatchasia, Inc. and others for an enterprise value of approximately PHP 380 million.
July 20, 2020
Share
AgriNurture, Inc. (PSE:ANI) entered into a memorandum of agreement to acquire 51% stake in Pay8 Inc. from Hatchasia, Inc. and others for an enterprise value of approximately PHP 380 million on July 20, 2020. An agreement will also be signed. The consideration comprises issuance of shares. Apart of the acquisition, Pay8 Inc. is also conducting a capital increase in authorized capital stock and AgriNurture, Inc. is acquiring 71 million shares in totality. For the year ended December 31, 2019, Pay8 Inc. reported total assets of PHP 167.9 million and net loss of PHP 19.7 million. The transaction is subject to due diligence, the execution of a finalized definitive agreement, the capital increase in Pay8, acquisition by AgriNurture, Inc. of 20% in Hatchasia and approval from shareholders of AgriNurture. The transaction is approved by the shareholders of Pay8. As of November 18, 2020, AgriNurture did not completed its due diligence. In view of the foregoing and pursuant to the consent of HAI and Pay8 to assign to AgriNurture's affiliate or nominee, its rights and obligations under the MOA, the Parties have agreed to finalize the terms and conditions of the assignment, including but not limited for the assignee to proceed and complete the conduct of the due diligence.
AgriNurture, Inc. is engaged in importing; trading, and fabricating of post-harvest agricultural machineries intended to manage the productivity, as well as the income of Filipino farmers. It is involved in corporate farming, in all its branches for planting, growing, cultivating, and producing of crops. It operates in four segments: Exports, Distribution, Retail, and Foreign Trading. The Export segment is in charge of looking for markets abroad as well as sourcing the produce possible to satisfy its growing number of clients abroad. Its main export products are fresh banana, fresh mango, and coco-water. The Distribution segment is responsible for the local sales and distribution of various produce that the Company offers to a number of supermarkets around Luzon. The Retail segment is responsible for the management and operation of the Groupâs retail businesses. The Foreign Trading segment is charge of the international distribution operations of the Group in China.
AgriNurture, Inc. entered into a memorandum of agreement to acquire 51% stake in Pay8 Inc. from Hatchasia, Inc. and others for an enterprise value of approximately PHP 380 million.